estie, inc., a Japanese property technology startup, announced on Tuesday it has closed a JPY 2.8 billion (approximately $20 million) Series B round to accelerate its growth and expand its market presence in Southeast Asia.
The latest round was led by Vertex Growth, a growth-stage venture capital fund anchored by Vertex Holdings, a subsidiary of global investment company Temasek, and Development Bank of Japan (DBJ), the company said in a statement.
Existing investors such as Globis Capital Partners (GCP), University of Tokyo Edge Capital Partners (UTEC), and Global Brain (GB) also participated in this round.
The new funding will be used to accelerate its multi-product strategy, to deliver a comprehensive digital solution for commercial real estate clients.
This capital injection will facilitate strategic mergers and acquisitions (M&A) to leverage on debt financing opportunities.
estie, inc. will also continue recruiting top talents.
By integrating artificial intelligence (AI) with its proprietary data and software, the company said it aims to create innovative solutions in both leasing and transactions, to further drive digital transformation in Japan’s real estate industry.
Founded in 2018, estie, inc. said it is seizing the significant opportunities arising from the digital shift in Japan’s commercial real estate industry.
Japan boasts one of the world’s largest real estate markets, anchored by Tokyo–the city with the largest real estate asset value in the world.
In the international arena, Japan ranks third in the commercial real estate market, following the United States and China.
Despite the large asset pool, Japan’s access to global capital is limited by data availability that foreign investors are accustomed to elsewhere.
According to JLL’s “Global Real Estate Transparency Index, 2024”, Japan ranks thirty-first globally when it comes to market fundamentals data availability, quality, depth and transparency.
estie, inc. aims to bridge this gap by providing a vast data infrastructure that includes one of Japan’s largest oaice data platform – estie Market Research.
As part of its longer-term growth strategy, estie, inc. plans to expand its presence in Southeast Asia starting with Singapore.
The company’s near-term objective is to provide Southeast Asian investors with access to comprehensive information on Japan’s real estate market.
Looking ahead, estie, inc. aspires to establish itself as a regional player that offers a comprehensive one-stop data platform for global real estate investors seeking opportunities across Asia.
estie, inc. will leverage on Vertex Growth’s combined experience and resources from the Vertex global network to seek partners and build business relationships.
Ei Hirai, Founder and CEO at estie, inc., shared his enthusiasm, stating, “The confidence placed in us by two leading funds, from Japan and Singapore, is a testament to our growth and shared vision of building a digital infrastructure for the real estate industry, which serves as the foundation of the economy, society, and nation.”
Tam Hock Chuan, General Partner at Vertex Growth, shared his optimism, remarking, “Through this Series B round, Vertex Growth will work together with estie, inc. management and fellow investors to support the company’s growth ambitions and share our global perspectives and best practices.”